Blackstone announced that Blackstone Growth and affiliated funds have entered into a definitive agreement to buy a majority stake in Priority Software, a leading provider of mission-critical business software. And Blackstone’s investment will help build on the company’s position in the ERP software market and support its further growth across industries and markets.
Priority Software provides mission-critical business applications and ERP solutions across various industries, enhancing business management through innovative and cloud-based applications. And the company’s comprehensive product suite, which includes solutions for retail management, hospitality and education, is supported by a network of 100+ partners worldwide.
The company’s solutions play a major role in automating complex processes and centralizing data management, helping businesses drive growth, optimize operations, and enhance profitability while ensuring they are well-equipped to meet future challenges and capitalize on new opportunities in their respective markets.
The company has over 17,000 customers and over 300,000 end users across multiple markets. Priority has 500+ employees across five offices in Israel, the US, and Belgium.
Priority has four main offerings:
1.) Priority Business Applications (ERP solutions)
2.) Priority Retail: A complete omnichannel, all-in-one retail management solution
3.) Priority Hospitality: A next-gen property management software
4.) Priority Education: Pedagogical management software serving schools. And the wide range of offerings across horizontal and vertical markets allows companies to optimize their business management with a comprehensive platform
Evercore acted as exclusive financial advisor to Priority, Fortissimo, and TA, and Goodwin and Gornitzky provided legal counsel. Kirkland & Ellis and Meitar offered legal counsel to Blackstone. Terms of the transaction were not disclosed.
KEY QUOTES:
“Priority Software has grown into a leader within the ERP market by developing business application software – both horizontal and vertical – that caters to the holistic needs of companies across sectors from their early days, through every stage of growth and, ultimately, at scale. Given our extensive experience in the software space – as well as the significant insight we glean from our global reach and more than 230 portfolio companies, including in hospitality, industrials, life sciences, energy and beyond – we believe Blackstone is well-positioned as a growth partner for this exceptional business.”
- Yifat Oron, Senior Managing Director at Blackstone and head of its Israel office
“The decision by Blackstone to partner with Priority Software is a testament to the strength of our business and the tremendous market opportunity that lies ahead. With Blackstone’s support, we are well-positioned to accelerate our growth trajectory, deepen our market penetration, and solidify our position as a leader in the industry. We are excited about the possibilities this partnership brings and remain steadfast in our commitment to driving unparalleled value for our customers and stakeholders.”
- Sagive Greenspan, CEO of Priority Software
“Fortissimo Capital is proud to have partnered with the Priority Software team and to have played a role in the company’s rapid growth for over a decade. We remain confident in Priority Software’s potential in Israel due to its leadership position, loyal customer base, superior technology, and the prospect of continued global expansion. We are excited to welcome Blackstone as a new partner to further accelerate Priority Software’s growth.”
- Yuval Cohen, Manager Partner at Fortissimo Capital
“Working in partnership with Sagive, the Priority management team and Fortissimo, we are proud to have delivered significant organic and inorganic growth for the company over the last three years. Blackstone’s new investment underscores the strength of Priority’s strategy and the continued opportunity that lies ahead. We look forward to deepening our partnership with Priority and harnessing the collective expertise of TA, Blackstone and Fortissimo to further accelerate the company’s growth journey.”
- Stefan Dandl, Director at TA Associates
